HomeMy WebLinkAboutResolutions 2003 (28) RESOLUTION #28(2003)
RESOLUTION AWARDING THE SALE OF $4,330,000
TAXABLE GENERAL OBLIGATION PROMISSORY NOTES, SERIES 2003B;
PROVIDING THE FORM OF THE NOTES; AND LEVYING A TAX
IN CONNECTION THEREWITH
WHEREAS, on May 20, 2003, the County Board of St. Croix County, Wisconsin (the
"County ") adopted a resolution entitled: "Resolution Authorizing the Borrowing of $4,330,000;
and Providing for the Issuance and Sale of General Obligation Taxable Promissory Notes, Series
2003B" (the "Authorizing Resolution ") which authorized the issuance of general obligation
promissory notes for the purpose of paying the cost of the County's unfunded prior service
liability owed to the Wisconsin Retirement System (the "PSL Prepayment ");
WHEREAS, pursuant to the Authorizing Resolution, the County Clerk caused an Official
Notice of Sale to be distributed offering the aforesaid general obligation promissory notes for
public sale on June 16, 2003; and
WHEREAS, sealed bid proposals were received as summarized on Exhibit C attached
hereto;
WHEREAS, it has be determined that the bid proposal submitted by CRONIN &
COMPANY, INCORPORATED, MINNEAPOLIS, MINNESOTA, fully complies with the bid
requirements set forth in the Official Notice of Sale and is deemed to be the most advantageous
to the County. A copy of said bid is attached hereto as Exhibit A and incorporated herein by this
reference.
NOW, THEREFORE, BE IT RESOLVED by the County Board of the County that:
Section 1. Award of the Notes. The bid proposal of CRONIN & COMPANY,
INCORPORATED, MINNEAPOLIS, MINNESOTA, (the "Purchaser ") is hereby accepted, said
proposal offering to purchase the $4,330,000 St. Croix County Taxable General Obligation
Promissory Notes, Series 2003B (the "Notes ") for the sum of FOUR MILLION THREE
HUNDRED TWO THOUSAND SIX HUNDRED SEVENTY -FOUR DOLLARS AND FIVE
CENTS ($4,302,674.05), plus accrued interest to the date of delivery, resulting in a net interest
cost of SEVEN HUNDRED NINETY -TWO THOUSAND FOUR HUNDRED SEVENTEEN
DOLLARS AND EIGHTY -TWO CENTS ($792,417.82) and a true interest rate of 3.3065 %.
The Notes bear interest as follows:
Year of Maturity Principal Amount Interest Rate
2004 $410,000 2.000%
2005 375,000 2.000
2006 385,000 2.000
2007 400,000 2.000
2008 415,000 2.500
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Year of Maturity Principal Amount Interest Rate
2009 $430,000 3.000%
2010 445,000 3.100
2011 465,000 3.350
2012 490,000 3.650
2013 515,000 4.000
Section 2. Terms of the Notes. The Notes shall be designated "Taxable General
Obligation Promissory Notes, Series 2003B"; shall be dated July 1, 2003; shall be in the
denomination of $5,000 or any integral multiple thereof; and shall mature serially on April 1 of
each year, in the years and principal amounts as set forth above. Interest is payable commencing
on April 1, 2004 and semi - annually thereafter on October 1 and April 1 of each year.
Section 3. Redemption Provisions. At the option of the County, the Notes maturing on
April 1, 2012 and thereafter shall be subject to redemption prior to maturity on April 1, 2011 or
on any day thereafter. Said Notes shall be redeemable as a whole or in part, from maturities
selected by the County and within each maturity by lot, at the principal amount thereof, plus
accrued interest to the date of redemption.
Section 4. Form of the Notes. The Notes shall be issued in registered form and shall be
executed and delivered in substantially the form attached hereto as Exhibit B and incorporated
herein by this reference.
Section 5. Direct Annual Irrepealable Tax Levy. For the purpose of paying the principal
of and interest on the Notes as the same becomes due, the full faith, credit and resources of the
County are hereby irrevocably pledged and there is hereby levied upon all of the taxable property
of the County a direct annual irrepealable tax in the years and amounts as follows:
Levy Year Amount Levy Year Amount
2003 $559,065.63 2008 $504,307.50
2004 485,582.50 2009 505,960.00
2005 487,982.50 2010 511,273.75
2006 495,132.50 2011 519,542.50
2007 500,945.00 2012 525,300.00
The aforesaid direct annual irrepealable tax shall be collected in addition to all other taxes and in
the same manner and at the same time as other taxes of the County levied in said years are
collected. So long as any part of the principal of or interest on the Notes remains unpaid, the tax
heretofore levied shall be and continues irrepealable except that the amount of tax carried onto
the tax roll may be reduced in any year by the amount of any surplus in the Debt Service Fund
Account created by Section 6 hereof.
Section 6. Segregated Debt Service Fund Account. There is hereby established in the
County treasury a fund account separate and distinct from all other County funds or accounts to
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be designated "Debt Service Fund Account for $4,330,000 St. Croix County Taxable General
Obligation Promissory Notes, Series 2003B, dated July 1, 2003." There shall be deposited in
said fund account any accrued interest paid on the Notes at the time of delivery to the Purchaser,
any premium, all money raised by taxation pursuant to Section 5 hereof and all other sums as
may be necessary to pay interest on the Notes when the same shall become due and to retire the
Notes at their respective maturity dates. Said fund account shall be used for the sole purpose of
paying the principal of and interest on the Notes and shall be maintained for such purpose until
such indebtedness is fully paid or otherwise extinguished.
Section 7. Borrowed Money Fund. The proceeds of the Notes (the "Note Proceeds ")
(other than any premium and accrued interest paid at the time of delivery which must be paid into
the Debt Service Fund Account created above) shall be deposited into an account separate and
distinct from all other funds and disbursed solely for the purposes for which borrowed or for the
payment of the principal of and the interest on the Notes (the "Borrowed Money Fund ").
Section 8. Persons Treated as Owners; Transfer of Notes. The Fiscal Agent appointed in
Section 11 hereof shall keep books for the registration and for the transfer of the Notes. The
person in whose name any Note shall be registered shall be deemed and regarded as the absolute
owner thereof for all purposes and payment of either principal or interest on any Note shall be
made only to the registered owner thereof. All such payments shall be valid and effectual to
satisfy and discharge the liability upon such Note to the extent of the sum or sums so paid.
Any Note may be transferred by the registered owner thereof by surrender of the Note at
the office of said fiscal agent, duly endorsed for the transfer or accompanied by an assignment
duly executed by the registered owner or his attorney duly authorized in writing. Upon such
transfer, the Chairperson and County Clerk shall execute and deliver in the name of the transferee
or transferees a new Note or Notes of a like aggregate principal amount, series and maturity and
said fiscal agent shall record the name of each transferee in the registration book. No registration
shall be made to bearer. Said fiscal agent shall cancel any Note surrendered for transfer.
The County shall cooperate in any such transfer, and the Chairperson and County Clerk
are authorized to execute any new Note or Notes necessary to effect any such transfer.
The 15th day of each calendar month next preceding each interest payment date shall be
the record date for the Notes. Payment of interest on the Notes on any interest payment date shall
be made to the registered owners of the Notes as they appear on the registration book of the
County maintained by said fiscal agent at the close of business on the corresponding record date.
Section 9. Utilization of The Depository Trust Company Book - Entry -Only- System. In
order to make the Notes eligible for the services provided by The Depository Trust Company,
New York, New York ( "DTC "), the County agrees to the applicable provisions set forth in the
DTC Blanket Issuer Letter of Representation. The County Clerk, or other authorized
representative of the County, is authorized and directed to execute such Letter of Representation
and deliver it to the DTC on behalf of the County.
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RESOLUTION #28(2003)
RESOLUTION AWARDING THE SALE OF $4,330,000
TAXABLE GENERAL OBLIGATION PROMISSORY NOTES, SERIES 2003B;
PROVIDING THE FORM OF THE NOTES; AND LEVYING A TAX
IN CONNECTION THEREWITH
WHEREAS, on May 20, 2003, the County Board of St. Croix County, Wisconsin (the
"County ") adopted a resolution entitled: "Resolution Authorizing the Borrowing of $4,330,000;
and Providing for the Issuance and Sale of General Obligation Taxable Promissory Notes, Series
2003B" (the "Authorizing Resolution ") which authorized the issuance of general obligation
promissory notes for the purpose of paying the cost of the County's unfunded prior service
liability owed to the Wisconsin Retirement System (the "PSL Prepayment ");
WHEREAS, pursuant to the Authorizing Resolution, the County Clerk caused an Official
Notice of Sale to be distributed offering the aforesaid general obligation promissory notes for
public sale on June 16, 2003; and
WHEREAS, sealed bid proposals were received as summarized on Exhibit C attached
hereto;
WHEREAS, it has be determined that the bid proposal submitted by CRONIN &
COMPANY, INCORPORATED, MINNEAPOLIS, MINNESOTA, fully complies with the bid
requirements set forth in the Official Notice of Sale and is deemed to be the most advantageous
to the County. A copy of said bid is attached hereto as Exhibit A and incorporated herein by this
reference.
NOW, THEREFORE, BE IT RESOLVED by the County Board of the County that:
Section 1. Award of the Notes. The bid proposal of CRONIN & COMPANY,
INCORPORATED, MINNEAPOLIS, MINNESOTA, (the "Purchaser ") is hereby accepted, said
proposal offering to purchase the $4,330,000 St. Croix County Taxable General Obligation
Promissory Notes, Series 2003B (the "Notes ") for the sum of FOUR MILLION THREE
HUNDRED TWO THOUSAND SIX HUNDRED SEVENTY -FOUR DOLLARS AND FIVE
CENTS ($4,302,674.05), plus accrued interest to the date of delivery, resulting in a net interest
cost of SEVEN HUNDRED NINETY -TWO THOUSAND FOUR HUNDRED SEVENTEEN
DOLLARS AND EIGHTY -TWO CENTS ($792,417.82) and a true interest rate of 3.3065 %.
The Notes bear interest as follows:
Year of Maturity Principal Amount Interest Rate
2004 $410,000 2.000%
2005 375,000 2.000
2006 385,000 2.000
2007 400,000 2.000
2008 415,000 2.500
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Section 10. Execution of the Notes. The Notes shall be issued in typewritten form, one
Note for each maturity, executed on behalf of the County by the manual or facsimile signatures
of the Chairperson and County Clerk (except that one of the foregoing signatures shall be
manual), sealed with its official or corporate seal, if any, and delivered to the Purchaser upon
payment to the County of the purchase price thereof, plus accrued interest to the date of delivery.
In the event that either of the officers whose signatures appear on the Notes shall cease to be such
officers before the delivery of the Notes, such signatures shall, nevertheless, be valid and
sufficient for all purposes to the same extent as if they had remained in office until such delivery.
The aforesaid officers are hereby authorized to do all acts and execute and deliver all documents
as may be necessary and convenient to effectuate the Closing.
Section 11. Payment of the Notes; Fiscal Agent. The principal of and interest on the
Notes shall be paid by U.S. Bank National Association, St. Paul, Minnesota, which is hereby
appointed as the County's registrar and fiscal agent pursuant to the provisions of Section
67.10(2), Wisconsin Statutes (the "Fiscal Agent "). The Fiscal Agency Agreement between the
County and the Fiscal Agent shall be substantially in the form attached hereto as Exhibit D and
incorporated herein by this reference.
Section 12. Bond Insurance. The Purchaser will obtain insurance upon the Notes from
Financial Security Assurance Inc., New York, New York ( "FSA "), which will issue its municipal
bond insurance policy with respect to the Notes. The Clerk or other officer of the County
charged with the responsibility of issuing the Notes, shall provide an appropriate certificate of the
County as of the Closing, if required, for inclusion in the transcript of proceedings, certifying that
it can and covenanting that it will comply with the provisions and requirements of FSA.
Section 13. Continuing Disclosure. The County hereby covenants and agrees that it will
comply with and carry out all of the provisions of its Continuing Disclosure Certificate which the
County will execute and deliver on the Closing Date. Any Noteholder may take such actions as
may be necessary and appropriate, including seeking mandate or specific performance by court
order, to cause the County to comply with its obligations under this Section.
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Section 14. Conflicting Resolutions; Severability; Effective Date. All prior resolutions,
rules or other actions of the County or any parts thereof in conflict with the provisions hereof
shall be, and the same are, hereby rescinded insofar as the same may so conflict. In the event that
any one or more provisions hereof shall for any reason be held to be illegal or invalid, such
illegality or invalidity shall not affect any other provisions hereof. The foregoing shall take effect
immediately upon adoption and approval in the manner provided by law.
Offered by: Finance Committee on June 17, 2003.
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Duly adopted on June 17, 2003.
Cindy Campbell,
County Clerk
MW719727 1.DOC
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